FCA explained: when Free Carrier fits a natural pet toy order
FCA, Free Carrier, is an Incoterms 2020 rule for any mode of transport, built around a named place of delivery. On our FCA orders that place is your forwarder's warehouse in Vietnam: we clear export customs and hand the goods over there. We quote FCA when a buyer asks for it, and it fits best when your goods join a shared container that your own forwarder arranges. For a full container at the port, we quote FOB.
- For importers with their own forwarder
- Written November 2026
- About 5 minutes to read
What Incoterms do, and what they leave out
The International Chamber of Commerce describes the Incoterms rules as "a set of eleven three-letter trade terms", clarifying the tasks, costs and risks involved in delivering goods from seller to buyer. The US International Trade Administration's guide to Incoterms lists FCA among "The seven Incoterms® 2020 rules for any mode(s) of transport", written as "FCA - Free Carrier (Insert named place of delivery)". FOB is among "The four Incoterms® 2020 rules for Sea and Inland Waterway Transport", written as "FOB - Free on Board (insert named port of loading)".
The same guide reminds buyers that Incoterms do not "identify the goods being sold nor list the contract price", and do not set "when title, or ownership of the goods, passes from the seller to the buyer". Payment, quality and specifications still belong in the proforma invoice and your purchase order.
FCA or FOB: the practical difference for a small order
The difference is the named place. FOB names a port of loading. FCA names a place of delivery; on our FCA orders, that place is your forwarder's warehouse. For a pet toy order, that matters in two set-ups:
- A shared container (LCL) with your forwarder. The container is packed at your forwarder's consolidation warehouse, not at our factory. We pack, clear export customs in our name and deliver the cartons to that warehouse, so FCA describes what really happens.
- A full container (FCL) at the port with your forwarder. FOB fits here. Your forwarder carries the goods, the ocean freight is yours and the B/L reads freight collect.
If you are unsure which to use, ask your forwarder which term they prefer. We can quote either. The split of costs for FOB, CIF and DAP is in FOB, CIF or DAP for a small mixed order.
The on-board bill of lading option in FCA
FCA raises a question about the bill of lading. When goods are handed over at a warehouse, they are not yet on a ship. The ICC addressed this in the 2020 revision. In its Incoterms 2020 page it explains that FCA "has been revised for Incoterms® 2020 to cater to a situation where goods are sold FCA for carriage by sea and buyer or seller (or either party's bank) requests a bill of lading with an on-board notation". Article A6/B6 now lets the parties agree "that the buyer will instruct the carrier to issue an on-board bill of lading to the seller once the goods have been loaded on board, and for the seller then to tender the document to the buyer (often through the banks)."
Two things to know on our side. The B/L is issued by the shipping line or your forwarder, not by us. And we release the B/L, by surrender or telex release, once the balance is paid; until then it is held. If you want the on-board option, say so when you order, and instruct your forwarder accordingly.
What to agree before an FCA order
FCA has fewer defaults in our own paperwork than FOB, CIF or DAP, so we write these points down before you pay a deposit:
- The named place. The exact warehouse address of your forwarder, and the delivery date it can receive.
- Fumigation. If your market needs it, fumigation is done before export customs clearance. On FOB your forwarder arranges it; on FCA we confirm in writing who arranges it as soon as there is a booking.
- Payment. We work on T/T, 50 percent deposit and 50 percent balance. When the balance falls due on an FCA order is agreed before the deposit.
- Marks and documents. Cartons are 5-ply export cartons with our standard shipping mark or your forwarder's form. We send draft documents for you to check before the originals, on every shipment.
Terms we do not offer
DDU is not in Incoterms 2020 and we no longer use it. We do not offer DDP as a standard service; we suggest DAP so that you keep control of import duty and the customs entry. If duty is part of your decision, read US tariffs on pet toys from Vietnam or EU export documents for pet toys first.
Our minimum is 50 pieces per item, and you can mix materials in one order, which is where a forwarder's shared container and FCA come in. How to build one order across coffee wood, hemp, coco coir and loofah is in mixed orders.
Questions buyers ask about FCA
Do you quote FCA?
Yes, when the buyer asks. Our standard quotes are FOB, CIF and DAP, and FCA fits goods we deliver to your forwarder's warehouse in Vietnam.
Is FCA only for air freight?
No. The US International Trade Administration lists FCA among the seven Incoterms 2020 rules for any mode of transport, so it can be used for sea, air or road.
Can I get an on-board B/L under FCA?
Incoterms 2020 let buyer and seller agree that the buyer will instruct the carrier to issue an on-board bill of lading to the seller once the goods are loaded. Tell us at order stage and instruct your forwarder.
Who clears export customs on an FCA order?
We do, in our name, before we deliver the goods to your forwarder.
Who arranges fumigation under FCA?
We confirm it in writing with your forwarder as soon as there is a booking. Fumigation is done before export customs clearance.
Start with the product, then the term
Start with samples: your first 3 are free, you pay the shipping. Tell us who your forwarder is and we quote FOB or FCA to match.
Ask for samples Coffee wood chews
Which documents come with every shipment: documents and testing.